Brasília – The effort of the Central Government (National Treasury, Social Service and Central Bank) in the first half of this year reached R$ 34.372 billion. The result is 28.3% lower than recorded in the same period last year and represents the worst primary surplus since 2010, when the savings reached R$ 24.897 billion in the first six months of that year.
In June, the primary surplus totalled R$ 1.274 billion, a result 13.7% lower than in the same month last year. The positive result, however, was only possible as the National Treasury received R$ 3.792 billion (US$ 1.7 billion) in dividends from state-owned company last month, of which R$ 1.986 billion (US$ 882 million) came from the Brazilian Development Bank (BNDES) and R$ 1.2 billion (US$ 533 million) came from the Federal Savings Bank.
The primary surplus refers to savings for debt servicing. The fiscal effort allows for reduction, in the medium- and long-run, of government indebtedness. Since the late 1990s, the government has been following a primary surplus target.
*Translated by Mark Ament
